Z-0772.1  _______________________________________________

 

                         SENATE BILL 5766

          _______________________________________________

 

State of Washington      57th Legislature     2001 Regular Session

 

By Senators Oke, B. Sheldon and Haugen; by request of The Blue Ribbon Commission on Transportation

 

Read first time 02/01/2001.  Referred to Committee on Transportation.

Continuing public-private transportation pilot projects.


    AN ACT Relating to continuing public-private initiative pilot projects; amending RCW 47.46.030, 47.56.010, 47.56.030, 47.56.240, and 47.56.270; creating a new section; repealing RCW 47.56.271; and declaring an emergency.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

    NEW SECTION.  Sec. 1.  The legislature finds and declares:

    It is in the interest of the state and the traveling public to improve the safety and efficiency of state highways and bridges as expeditiously as possible.  The existing Tacoma Narrows bridge section of the SR 16 corridor located in Pierce and Kitsap counties, among others, is a threat to public health and safety because of congestion and a high number of accidents, injuries, and fatalities.  Millions of dollars are lost annually because of travel delays and accidents that cause personal and property damage.  These conditions are the result of insufficient capacity, substandard effective lane widths, lack of emergency shoulders, and no separation of oncoming traffic due to the physical limitation of the existing bridge.

    The SR 16 corridor provides the only fixed roadway link crossing Puget Sound.  SR 16 is classified as an urban principal arterial and a highway of statewide significance because it serves substantial statewide and interstate travel.  Further, its national highway system designation as a major strategic highway connector identifies SR 16 as part of the network of highways that is important to the United States strategic defense policy providing defense access, continuity, and emergency capabilities for the movement of personnel, materials, and equipment.

    The SR 16 corridor is vital to the economic well-being of Pierce and Kitsap counties and the Olympic peninsula.  SR 16 is a designated state freight corridor, allowing for the efficient movement of freight, goods, and services to support local, regional, and state economies.

    The public-private transportation initiatives act, chapter 47.46 RCW, is an important component of the state's approach to financing and carrying out additions and improvements to the state transportation system, including improvements to facilities originally financed under chapter 47.56 RCW.  Under chapter 47.46 RCW, public-private initiative projects are developed according to state and federal law and other statutorily required processes.  The SR 16 corridor project includes the financing, right-of-way acquisition, design-build construction, operations, and maintenance of a new suspension bridge at Tacoma Narrows parallel to the existing bridge and the reconfiguration and seismic rehabilitation of the current bridge.  Roadway improvements will also be made on SR 16 from and to the approaches to the bridge.  Voters in the affected project area under state law approved the imposition of tolls to pay for these improvements.

    The state highway systems plan does not provide any other funding solution for this critical transportation project, other than public-private financing under chapter 47.46 RCW.  Under RCW 47.46.040, the project has received regulatory approvals, rights-of-way have been acquired, necessary preparations for financing have been made, and a design-build construction price has been determined.  There have been significant state appropriations and private funding advanced to develop the project.  Delays in commencing this project will cause increases in construction and financing costs and present a clear danger that the state will not be able to proceed to make these vital transportation improvements.  This will result in a detrimental effect on the safety of its citizens and the economic welfare of the region.

    In order to avoid these profound risks, including the profound risk of the project not proceeding, which would adversely affect tens of thousands of citizens, it is necessary that this act be effective immediately.  Immediate legislative action is a pressing necessity to support the immediate commencement of work on this project and the SR 16 corridor.

    These facts and findings are a declaration of facts constituting an emergency, and the projects that will be able to proceed under this act are necessary for immediate preservation of the public health, safety, and welfare.

 

    Sec. 2.  RCW 47.46.030 and 1996 c 280 s 1 are each amended to read as follows:

    (1) The secretary or a designee shall continue to solicit proposals from, and negotiate and enter into agreements with, private entities to undertake as appropriate, together with the department and other public entities, all or a portion of the study, planning, design, construction, operation, and maintenance of transportation systems and facilities, using in whole or in part private sources of financing.

    The public-private initiatives program may develop ((up to six)) demonstration projects.  Each proposal shall be weighed on its own merits, and each ((of the six agreements shall)) agreement must be negotiated individually, and as a stand-alone project.

    (2) If project proposals selected prior to September 1, 1994, are terminated by the public or private sectors, the department shall not select any new projects, including project proposals submitted to the department prior to September 1, 1994, and designated by the transportation commission as placeholder projects, after June 16, 1995, until June 30, 1997.

    The department, in consultation with the legislative transportation committee, shall conduct a program and fiscal audit of the public-private initiatives program for the biennium ending June 30, 1997.  The department shall submit a progress report to the legislative transportation committee on the program and fiscal audit by June 30, 1996, with preliminary and final audit reports due December 1, 1996, and June 30, 1997, respectively.

    The department shall develop and submit a proposed public involvement plan to the ((1997)) 2002 legislature to identify the process for selecting new potential projects and the associated costs of implementing the plan.  The legislature must adopt the public involvement plan before the department may proceed with any activity related to project identification and selection.  Following legislative adoption of the public involvement plan, the department is authorized to implement the plan and to identify potential new projects.

    The public involvement plan for projects selected after June 30, 1997, shall, at a minimum, identify projects that:  (a) Have the potential of achieving overall public support among users of the projects, residents of communities in the vicinity of the projects, and residents of communities impacted by the projects; (b) meet a state transportation need; (c) provide a significant state benefit; and (d) provide competition among proposers and maximum cost benefits to users.  Prospective projects may include projects identified by the department or submitted by the private sector.

    Projects that meet the minimum criteria established under this section and the requirements of the public involvement plan developed by the department and approved by the legislature shall be submitted to the Washington state transportation commission for its review.  The commission, in turn, shall submit a list of eligible projects to the legislative transportation committee for its consideration.  Forty-five days after the submission to the legislative transportation committee of the list of eligible projects, the secretary is authorized to solicit proposals for the eligible project.

    (3) Prior to entering into agreements with private entities under the requirements of RCW 47.46.040 for any project proposal selected before September 1, 1994, or after June 30, 1997, except as provided for in subsections (((11) and)) (12) and (13) of this section, the department shall require an advisory vote as provided under subsections (5) through (10) of this section.

    (4) The advisory vote shall apply to project proposals selected prior to September 1, 1994, or after June 30, 1997, that receive public opposition as demonstrated by the submission to the department of original petitions bearing at least five thousand signatures of individuals opposing the project collected and submitted in accordance with the dates established in subsections (12) and (13) of this section.  The advisory vote shall be on the preferred alternative identified under the requirements of chapter 43.21C RCW and, if applicable, the national environmental policy act, 42 U.S.C. 4321 et seq.  The execution by the department of the advisory vote process established in this section is subject to the prior appropriation of funds by the legislature for the purpose of conducting environmental impact studies, a public involvement program, local involvement committee activities, traffic and economic impact analyses, engineering and technical studies, and the advisory vote.

    (5) In preparing for the advisory vote, the department shall conduct a comprehensive analysis of traffic patterns and economic impact to define the geographical boundary of the project area that is affected by the imposition of tolls or user fees authorized under this chapter.  The area so defined is referred to in this section as the affected project area.  In defining the affected project area, the department shall, at a minimum, undertake:  (a) A comparison of the estimated percentage of residents of communities in the vicinity of the project and in other communities impacted by the project who could be subject to tolls or user fees and the estimated percentage of other users and transient traffic that could be subject to tolls or user fees; (b) an analysis of the anticipated traffic diversion patterns; (c) an analysis of the potential economic impact resulting from proposed toll rates or user fee rates imposed on residents, commercial traffic, and commercial entities in communities in the vicinity of and impacted by the project; (d) an analysis of the economic impact of tolls or user fees on the price of goods and services generally; and (e) an analysis of the relationship of the project to state transportation needs and benefits.

    (6)(a) After determining the definition of the affected project area, the department shall establish a committee comprised of individuals who represent cities and counties in the affected project area; organizations formed to support or oppose the project; and users of the project.  The committee shall be named the public-private local involvement committee, and be known as the local involvement committee.

    (b) The members of the local involvement committee shall be:  (i) An elected official from each city within the affected project area; (ii) an elected official from each county within the affected project area; (iii) two persons from each county within the affected project area who represent an organization formed in support of the project, if the organization exists; (iv) two persons from each county within the affected project area who represent an organization formed to oppose the project, if the organization exists; and (v) four public members active in a statewide transportation organization.  If the committee makeup results in an even number of committee members, there shall be an additional appointment of an elected official from the county in which all, or the greatest portion of the project is located.

    (c) City and county elected officials shall be appointed by a majority of the members of the city or county legislative authorities of each city or county within the affected project area, respectively.  The county legislative authority of each county within the affected project area shall identify and validate organizations officially formed in support of or in opposition to the project and shall make the appointments required under this section from a list submitted by the chair of the organizations.  Public members shall be appointed by the governor.  All appointments to the local involvement committee shall be made and submitted to the department of transportation no later than January 1, 1996, for projects selected prior to September 1, 1994, and no later than thirty days after the affected project area is defined for projects selected after June 30, 1997.  Vacancies in the membership of the local involvement committee shall be filled by the appointing authority under (b)(i) through (v) of this subsection for each position on the committee.

    (d) The local involvement committee shall serve in an advisory capacity to the department on all matters related to the execution of the advisory vote.

    (e) Members of the local involvement committee serve without compensation and may not receive subsistence, lodging expenses, or travel expenses.

    (7) The department shall conduct a minimum thirty-day public comment period on the definition of the geographical boundary of the project area.  The department, in consultation with the local involvement committee, shall make adjustments, if required, to the definition of the geographical boundary of the affected project area, based on comments received from the public.  Within fourteen calendar days after the public comment period, the department shall set the boundaries of the affected project area in units no smaller than a precinct as defined in RCW 29.01.120.

    (8) The department, in consultation with the local involvement committee, shall develop a description for selected project proposals.  After developing the description of the project proposal, the department shall publish the project proposal description in newspapers of general circulation for seven calendar days in the affected project area.  Within fourteen calendar days after the last day of the publication of the project proposal description, the department shall transmit a copy of the map depicting the affected project area and the description of the project proposal to the county auditor of the county in which any portion of the affected project area is located.

    (9) The department shall provide the legislative transportation committee with progress reports on the status of the definition of the affected project area and the description of the project proposal.

    (10) Upon receipt of the map and the description of the project proposal, the county auditor shall, within thirty days, verify the precincts that are located within the affected project area.  The county auditor shall prepare the text identifying and describing the affected project area and the project proposal using the definition of the geographical boundary of the affected project area and the project description submitted by the department and shall set an election date for the submission of a ballot proposition authorizing the imposition of tolls or user fees to implement the proposed project within the affected project area, which date may be the next succeeding general election to be held in the state, or at a special election, if requested by the department.  The text of the project proposal must appear in a voter's pamphlet for the affected project area.  The department shall pay the costs of publication and distribution.  The special election date must be the next date for a special election provided under RCW 29.13.020 that is at least sixty days but, if authorized under RCW 29.13.020, no more than ninety days after the receipt of the final map and project description by the auditor.  The department shall pay the cost of an election held under this section.

    (11) Notwithstanding any other provision of law, the department may contract with a private developer of a selected project proposal to conduct environmental impact studies, a public involvement program, and engineering and technical studies funded by the legislature.  For projects subject to this subsection, the department shall not enter into an agreement under RCW 47.46.040 prior to the advisory vote on the preferred alternative.

    (12) Subsections (5) through (10) of this section shall not apply to project proposals selected prior to September 1, 1994, that have no organized public opposition as demonstrated by the submission to the department of original petitions bearing at least five thousand signatures of individuals opposing the project, collected and submitted after September 1, 1994, and by thirty calendar days after June 16, 1995.

    (13) Subsections (5) through (10) of this section shall not apply to project proposals selected after June 30, 1997, that have no organized public opposition as demonstrated by the submission to the department of original petitions bearing at least five thousand signatures of individuals opposing the project, collected and submitted by ninety calendar days after project selection.

 

    Sec. 3.  RCW 47.56.010 and 1984 c 7 s 246 are each amended to read as follows:

    "Toll bridge" means a bridge constructed or acquired under this chapter, upon which tolls are charged, together with all appurtenances, additions, alterations, improvements, and replacements thereof, and the approaches thereto, and all lands and interests used therefor, and buildings and improvements thereon.

    "Toll road" means any express highway, superhighway, or motorway at such locations and between such termini as may be established by law, and constructed or to be constructed as a limited access highway under the provisions of this chapter by the department, and shall include, but not be limited to, all bridges, tunnels, overpasses, underpasses, interchanges, entrance plazas, approaches, toll houses, service areas, service facilities, communications facilities, and administration, storage, and other buildings that the department may deem necessary for the operation of the project, together with all property, rights, easements, and interests that may be acquired by the department for the construction or the operation of the project, all of which shall be conducted in the same manner and under the same procedure as provided for the establishing, constructing, operating, and maintaining of toll bridges by the department, insofar as those procedures are reasonably consistent and applicable.

    "Toll bridge" and "toll road" as used in this chapter does not include a facility that is developed, financed, constructed, reconstructed, upgraded, maintained, or operated under chapter 47.46 RCW and for which funds have been appropriated under RCW 47.46.030, notwithstanding the fact that the facility was originally constructed under this chapter.

 

    Sec. 4.  RCW 47.56.030 and 1995 1st sp.s. c 4 s 1 are each amended to read as follows:

    The department of transportation shall have full charge of the construction of all toll bridges and other toll facilities including the Washington state ferries, and the operation and maintenance thereof.  The transportation commission shall determine and establish the tolls and charges thereon, and shall perform all duties and exercise all powers relating to the financing, refinancing, and fiscal management of all toll bridges and other toll facilities including the Washington state ferries, and bonded indebtedness in the manner provided by law.  However, once bonds issued by the commission for construction of a toll bridge or other toll facility have been paid, redeemed, or defeased in full, the toll bridge or other toll facility may be thereafter included in projects that have been authorized under chapter 47.46 RCW and for which funds have been appropriated under RCW 47.46.030, and tolls on the facilities must be established as provided by chapter 47.46 RCW.  The department shall have full charge of design of all toll facilities.  The department shall proceed with the construction of such toll bridges and other facilities and the approaches thereto by contract in the manner of state highway construction immediately upon there being made available funds for such work and shall prosecute such work to completion as rapidly as practicable.  The department is authorized to negotiate contracts for any amount without bid in order to make repairs to ferries or ferry terminal facilities or removal of such facilities whenever continued use of ferries or ferry terminal facilities constitutes a real or immediate danger to the traveling public or precludes prudent use of such ferries or facilities.

    The department shall proceed with the procurement of materials, supplies, services, and equipment needed for the support, maintenance, and use of a ferry, ferry terminal, or other facility operated by Washington state ferries, in accordance with chapter 43.19 RCW except as follows:

    (1) When the secretary of the department of transportation determines in writing that the use of invitation for bid is either not practicable or not advantageous to the state and it may be necessary to make competitive evaluations, including technical or performance evaluations among acceptable proposals to complete the contract award, a contract may be entered into by use of a competitive sealed proposals method, and a formal request for proposals solicitation.  Such formal request for proposals solicitation shall include a functional description of the needs and requirements of the state and the significant factors.

    (2) When purchases are made through a formal request for proposals solicitation the contract shall be awarded to the responsible proposer whose competitive sealed proposal is determined in writing to be the most advantageous to the state taking into consideration price and other evaluation factors set forth in the request for proposals.  No significant factors may be used in evaluating a proposal that are not specified in the request for proposals.  Factors that may be considered in evaluating proposals include but are not limited to:  Price maintainability; reliability; commonality; performance levels; life cycle cost if applicable under this section; cost of transportation or delivery; delivery schedule offered; installation cost; cost of spare parts; availability of parts and service offered; and the following:

    (a) The ability, capacity, and skill of the proposer to perform the contract or provide the service required;

    (b) The character, integrity, reputation, judgment, experience, and efficiency of the proposer;

    (c) Whether the proposer can perform the contract within the time specified;

    (d) The quality of performance of previous contracts or services;

    (e) The previous and existing compliance by the proposer with laws relating to the contract or services;

    (f) Objective, measurable criteria defined in the request for proposal.  These criteria may include but are not limited to items such as discounts, delivery costs, maintenance services costs, installation costs, and transportation costs; and

    (g) Such other information as may be secured having a bearing on the decision to award the contract.

    When purchases are made through a request for proposal process, proposals received shall be evaluated based on the evaluation factors set forth in the request for proposal.  When a life cycle cost analysis is used, the life cycle cost of a proposal shall be given at least the same relative importance as the initial price element specified in the request of proposal documents.  The department may reject any and all proposals received.  If the proposals are not rejected, the award shall be made to the proposer whose proposal is most advantageous to the department, considering price and the other evaluation factors set forth in the request for proposal.

    (3) The legislative transportation committee shall review the secretary's use of the request for proposals solicitation for Washington state ferries projects to determine if the process established under chapter 4, Laws of 1995 1st sp. sess. is appropriate.  The results of the review, including recommendations for modification of the request for proposal process, shall be reported to the house of representatives and senate transportation committees by January 1, 1997.

 

    Sec. 5.  RCW 47.56.240 and 1984 c 7 s 265 are each amended to read as follows:

    The commission is hereby empowered to fix the rates of toll and other charges for all toll bridges built under the terms of this chapter.  Toll charges so fixed may be changed from time to time as conditions warrant.  The commission, in establishing toll charges, shall give due consideration to the cost of operating and maintaining such toll bridge or toll bridges including the cost of insurance, and to the amount required annually to meet the redemption of bonds and interest payments on them.  The tolls and charges shall be at all times fixed at rates to yield annual revenue equal to annual operating and maintenance expenses including insurance costs and all redemption payments and interest charges of the bonds issued for any particular toll bridge or toll bridges as the bonds become due.  The bond redemption and interest payments constitute a first direct and exclusive charge and lien on all such tolls and other revenues and interest thereon.  Sinking funds created therefrom received from the use and operation of the toll bridge or toll bridges, and such tolls and revenues together with the interest earned thereon shall constitute a trust fund for the security and payment of such bonds and shall not be used or pledged for any other purpose as long as any of these bonds are outstanding and unpaid.

    However, once bonds issued by the commission for construction of a toll bridge or other toll facility have been paid, redeemed, or defeased in full, the toll bridge or other toll facility may be thereafter included in projects that have been authorized under chapter 47.46 RCW and for which funds have been appropriated under RCW 47.46.030, and tolls on the facilities must be established as provided by chapter 47.46 RCW.

 

    Sec. 6.  RCW 47.56.270 and 1983 c 3 s 129 are each amended to read as follows:

    The Lake Washington bridge ((and the Tacoma Narrows bridge)) in chapter 47.17 RCW made a part of the primary state highways of the state of Washington, shall, upon completion, be operated, maintained, kept up, and repaired by the department in the manner provided in this chapter, and the cost of such operation, maintenance, upkeep, and repair shall be paid from funds appropriated for the use of the department for the construction and maintenance of the primary state highways of the state of Washington.

 

    NEW SECTION.  Sec. 7.  RCW 47.56.271 (Tacoma Narrows bridge--Toll free facility) and 1983 c 3 s 130 & 1965 c 50 s 1 are each repealed.

 

    NEW SECTION.  Sec. 8.  For all reasons, declarations, and facts stated in section 1 of this act, the legislature declares that an emergency exists and that this act is necessary for the immediate preservation of the public peace, health, or safety, or support of the state government and its existing public institutions, and takes effect immediately.

 


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